Suppose all foreign debts of Argentina are fixed at a nominal interest rate and loans repayments are in Peso. What affect would increased domestic inflation have on the real burden of debt payment in...


Suppose all foreign debts of Argentina are fixed at a nominal interest rate and loans repayments are in Peso. What affect would increased domestic inflation have on the real burden of debt payment in Argentina? Does the real burden change if the repayments to the external loans were in US dollars instead of Peso?



May 03, 2022
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